To be transparent, I have the DRO already, but I have not installed it yet. I want to convert the motor to 3phase with a VFD all at the same time. But it is all mapped out and just waiting for the installs and the time to do them.
I went with a 4 axis on the lathe too. But right now, I only envision installing 3 scales.
Because the scale can be damaged by exceeding the travel limits, it's my view that the design size should exceed the lathe travel. So my axial travel is a wee bit more than the carriage travel which is less than the bed length. I plan to affix the scale to the back of the bed and the read head under the saddle.
Same goes for the cross-slide travel, but the problem here is a travel that exceeds the scale mounting space. So you may need to add an extension to the cross-slide to accommodate the additional scale length needed. There is also location to consider. A scale on the chuck side of the cross-slide is exposed to extreme damage from flying swarf and/or parts that get parted off, and/or parts that come loose. So I didnt want a scale on that side. A scale on the tailstock side is the obvious answer, but I'm a bumper - I like to index my tailstock by bumping it against the cross-slide. Which raises the probability of damaging the scale. But for every challenge there are answers. I don't remember whose original idea it was, but one of the guys on here put his scale INSIDE the cross-slide! Wow! Protected, and dead nuts accurate too. That's where mine is going.
There are a million solutions for the tailstock. I'm silly enough to want to combine the tailstock and carriage travel (just like knee and quill on a mill). As far as I know, that will be a first. But it isn't required.
The bigger question is whether or not to digitize the compound travel. Doing so would facilitate angle calculations......
Anyway, I think most guys are happy with a 2 axis DRO on their lathe - carriage and cross-slide. I think that's all that's really needed anyway. The rest is mostly my morbid curiosity.